KOREA

Genesis Gangham, the first standalone showroom for Hyundai’s luxury brand.

Launched in November 2015, the Genesis brand has quietly and steadily continued to transition away from Hyundai to stand on its own. Hyundai’s luxury marque is currently composed of just two models, with a third sedan on the way. By 2020, the Genesis nameplate should include six models — three sedans and three SUVs.

Standalone Genesis Showrooms

The big news right now has everything to do with the way the Genesis markets its products. Currently, Hyundai dealerships carry the Genesis, carving out showroom space to present its two models. Certainly, that’s not an ideal way to advance a luxury brand, something Hyundai Motors will rectify by awarding standalone Genesis dealerships to top-tier retailers.

The Hyundai-Genesis split follows a seven-year test of the brand with American consumers. Beginning with the Hyundai Genesis Sedan, followed by the Genesis Coupe and Hyundai Equus, consumer interest and acceptance was quickly confirmed. Indeed, the Genesis sedan quickly became one of the top sellers in the segment. Moreover, consumers expressed interest in a standalone brand, much in the same way Toyota maintains Lexus.

To begin the transition, Hyundai replaced the Equus with an all-new Genesis G90, while an updated Genesis sedan received the Genesis G80 name. However, the Genesis Coupe did not make the transition and ultimately Hyundai discontinued it. Even so, we may yet see a Genesis sport coupe at some point, but it isn’t a priority for the brand.

The first standalone Genesis showroom opened in early January in Korea. Dubbed “Genesis Gangham,” the new showroom sits in Seoul’s Samsung-dong, Gangnam-Gu, the city’s prime business district. The showroom features a “launch bay,” where the drive experience begins. There, shoppers have a choice of five test drive courses on public roads around the district.

The all-new Genesis G70 sedan arrives April 2018.

US Market Showrooms

As for the US market, Hyundai plans to give some of its 350 elite-level dealers priority to apply for standalone dealerships, according to Automotive News. For the 2019 model year, Hyundai dealers not making the cut will quit selling Genesis product, but will receive compensation from the automaker to cover inventory, training and equipment to service Genesis models and for helping raise Genesis awareness.

Genesis plans to award approximately 100 locations in 48 markets across the United States. Top markets include such major cities as Los Angeles, Chicago and New York as well as San Francisco, Miami and Washington, DC. Some markets will have just one Genesis showroom. Genesis will announce its initial franchise recipients in the coming months, requiring showrooms to open no later than the end of 2020.

New Genesis Product

As for the upcoming product, the compact G70 sedan is on sale in Korea and arrives in the US this Spring. The Genesis G70 targets such models as the BMW 3 Series, Cadillac ATS and the Mercedes-Benz C-Class.

As for the first of three Genesis SUVs, the GV80 Fuel Cell Concept revealed at the 2017 New York International Auto Show likely points to what’s in store. That said, Auto Trends believes the main model will feature a conventional gas-powered drivetrain with a fuel cell or hybrid optional. Hyundai Motors is deeply invested in vehicle electrification, perhaps serving as variants on conventional models such as the GV80.

The Genesis concept points to the brand’s first SUV.

Strong Luxury Sales

Hyundai Motors’ “go slow” approach to growing the Genesis brand comes as US auto sales pulled back slightly in 2017, following seven consecutive years of growth. Luxury model growth has slowed also, but consumers continue to flock to many models with higher price points. Launching a new brand is an extremely expensive and laborious proposition, a cost Hyundai Motors’ will spread out for several years to come.

“N” stands for Namyang, the location of Hyundai Motor’s global research and development (R&D) Center in Korea. The “N” also represents Hyundai’s performance division, the automaker’s equivalent of Ford’s ST and Volkswagen’s GTI lines. Starting this year, the first model bearing that appellation rolls out when the 2019 Veloster N debuts.

2019 Hyundai Veloster N

The Veloster N represents the apex of the 2019 Veloster line, which also includes Veloster, Veloster Turbo and Veloster R-Spec models. The Veloster makes its return after a brief one-year hiatus. Indeed, although there was no 2018 model, the 2019 Veloster arrives in the first quarter. However, you’ll have to wait until near the end of the calendar year for the Veloster N as production begins in September at Hyundai’s Ulsan manufacturing plant.

The Veloster is a compact, three-door coupe with one rear door located on the passenger side. Yes, it is a quirky design, but it works. As for the “N” it builds on that style by adding an exclusive N-design front fascia and grille with functioning front air duct to augment brake cooling.

Along the sides, the Veloster N supplies unique rocker side sills along with available 19-inch machine-finished alloy wheels. The wheels are shod within Michelin SuperSport summer tires for the 18-inch design and Pirelli P-Zero summer tires with the 19-inch wheels. From the rear, you’ll find an N-design rear spoiler, an integrated rear diffuser and a high-flow dual exhaust system.

Inside, the Veloster N delivers such exclusive features as N-design cloth sport seats with performance-focused bolstering. Other N-exclusive designs extend to the door sills, steering wheel, shift knob and instrument cluster. A blue accent theme runs throughout the cabin.

Veloster N: Under the Hood

Hyundai fans will be delighted to know that just not any turbocharged engine sits under the hood of the Veloster N. Here, you’ll find a larger engine than the standard

, this one displacing at 2.0 liters. The performance numbers are the current estimates, but Hyundai’s target is 275 horsepower at 6,000 rpm and 260 pound-feet of torque from 1,450 to 4,700 rpm. Hyundai pairs this engine with a short-throw 6-speed manual gearbox with downshift rev-matching capability.

The high performance numbers put the Veloster N well above the Golf GTI (220 hp/258 lb.-ft.), but just behind the Golf R (292 hp/280 lb.-ft.). One can imagine that an all-wheel drive Veloster version is waiting in the wings. If so, the Golf R and Focus RS make for ripe targets. Yes, Auto Trends does see this happening!

Suspension and Braking

Of course, with all that power, the hot hatchback’s steering and handling attributes must hold up. To that end, Hyundai ensures the Veloster N stays planted with its electronically controlled suspension and differential, with the latter imbued with torque vectoring to keep it fixed to the pavement when carving corners and taking on twisty roads.

You’ll find 13-inch rotors up front and 11.8-inch rotors at the rear. If you’re a track maven, then opt for the available 13.6-inch rotors for the front and 12.4-inch rotors for the rear. Controlling it all is the N Grin Control System, a drive control selection system with Normal, Sport, N, Eco and N Custom.

Bringing Back the Veloster

If you can’t wait until late this year for the Veloster N, the other Veloster models begin arriving in the coming months. A pair of 1.6-liter engines are in the offing, the standard engine makes 147 horsepower and 132 pound-feet of torque, while the Veloster Turbo makes 201 horsepower and 195 pound-feet of torque and comes with a six-speed manual gearbox or a seven-speed dual-clutch transmission.

All in all, the next-generation Veloster offers a big improvement over the original model and is also tasked with bringing Namyang goodness the brand.